Getting to Entrepreneurial Freedom – Break Even with a Personal Salary

Continuing with the previous post titled Entrepreneurs on Annual Revenue Goals, the clear next step is talking about controlling your own destiny. For almost all entrepreneurs, one of the biggest milestones on the startup roller coaster is achieving entrepreneurial freedom: financial break even in the business while also paying a salary that covers personal expenses and obligations. With a self-sustaining business and a self-sustaining personal lifestyle, stress and financial pressures are relieved.

Here are a few thoughts on getting to entrepreneurial freedom:

  • Keep the team lean and focus on customer acquisition (see Simplifying it Down to Selling or Building)
  • Remember to keep the seed round small to minimize dilution and maximize ownership (see Death to the $700k Seed Round)
  • Ignore the desire to raise VC money for idea validation and instead build a great business that can raise money on its own terms (or never raise money)
  • Never forget the four stages of a B2B startup (e.g. don’t start investing in one stage when the previous stage isn’t fully developed)

Whether bootstrapping the business or enlisting the help of investors, one of the most liberating moments is growing the business to the point that it can exist indefinitely on its own. While not easy, achieving entrepreneurial freedom is well worth the challenge.

What else? What are some other thoughts on getting to entrepreneurial freedom?

2 thoughts on “Getting to Entrepreneurial Freedom – Break Even with a Personal Salary

  1. First off, your site is pretty badass. Thanks for all the phenomenal content. Second off in regards to the topic itself, I’m just going to call it “having the balls.” The specifics of the money will come, like you allude to, either via VC or customer acquisition, but if you aren’t putting yourself out there in the first place, neither will happen. Your business will die before it even gets off the ground. Always need a clear vision of where you are going before any success will come. Thanks for allowing me to stop by.

  2. Very helpful article for someone like me. I just started my own business last week. As far as entrepreneurial freedom, what about a mentor? I have a lot of friends who work for the government who think I have lost my mind for starting my own business. For my personality, it makes complete sense. It would be better if I had a mentor, someone just to remind me that everyone else is wrong.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.